Key Highlights
- Shares of Naver climbed nearly 14% to reach 290,500 won following the reveal of an AI infrastructure collaboration with Nvidia
- Both companies will develop “AI factories” — comprehensive data centers and supporting infrastructure — throughout South Korea
- Initial capacity is set at 55 megawatts, with long-term expansion plans targeting gigawatt-scale operations utilizing Nvidia’s DSX platform
- Operations will commence at Naver’s Gak Sejong facility in Sejong City
- During his South Korean visit, Nvidia CEO Jensen Huang also unveiled additional partnerships with SK Hynix and Doosan
Naver’s stock price surged nearly 14% during Monday trading to 290,500 won, significantly outpacing the KOSPI index which dropped approximately 9%.
The rally followed the announcement that Naver and Nvidia would collaborate on building sovereign artificial intelligence infrastructure within South Korea.
The partnership centers on constructing what both organizations are terming “AI factories” — comprehensive, full-stack data center facilities and infrastructure tailored for the emerging age of agentic AI.
The inaugural phase targets 55 megawatts of computing capacity, with aspirations to expand operations to gigawatt-level scale over time.
This expansion strategy will leverage Nvidia’s DSX platform, engineered specifically for building complete, end-to-end artificial intelligence systems.
“We’ve entered the era of useful AI, and the demand for AI factories is exceptional,” stated Nvidia CEO Jensen Huang.
“Through NVIDIA DSX, we can support Korea in scaling its sovereign intelligence infrastructure for the agentic era — spanning from AI agents to AI factories and physical AI applications,” Huang continued.
The collaboration will launch at Naver’s Gak Sejong data center facility, situated in Sejong City, South Korea.
Partnership Encompasses More Than Computing Power
The agreement extends well beyond computing infrastructure alone. Both organizations also intend to work together on physical AI technologies, encompassing enterprise solutions and surveillance systems.
Naver has invested in developing its AI capabilities over multiple years, including its proprietary large language model known as HyperCLOVA X.
This collaboration provides that initiative with a substantial hardware and infrastructure ally in Nvidia.
Component of Broader South Korean Expansion
The Naver agreement represented just one of multiple announcements made during Huang’s South Korean tour.
Nvidia simultaneously revealed separate collaborations with memory chip manufacturer SK Hynix and industrial corporation Doosan throughout the same visit.
These engagements demonstrate Nvidia’s strategic effort to expand its footprint within South Korea’s technology industry.
Naver, which holds a co-ownership stake in the LINE messaging service, operates as South Korea’s dominant internet search provider.
The initial 55-megawatt initiative at Gak Sejong represents the foundation for what both partners characterize as an extended infrastructure development program.
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